ID :
104799
Fri, 02/05/2010 - 14:51
Auther :
Shortlink :
https://www.oananews.org//node/104799
The shortlink copeid
Seoul stocks end 3.05 pct lower on European debt woes
SEOUL, Feb. 5 (Yonhap) -- South Korean stocks closed 3.05 percent lower Friday as snowballing sovereign debt woes in Europe prompted skepticism over a fledgling global economic recovery, analysts said. The local currency fell sharply against the U.S. dollar.
In a broad-based slump, the Korea Composite Stock Price Index (KOSPI) 49.30
points to end at 1,567.12. Volume was heavy at 455.3 million shares, worth 4.9
trillion won (US$4.2 billion), with losers far outnumbering gainers 723 to 98.
Friday's steep losses pushed the key index back to the lowest level since it
ended at 1,555.70 on Nov. 30, after foreigners sold a net $293 billion in shares
following three days of buying.
"Given the bigger economic sizes of Portugal and Spain, the debt-bloated nations
in the spotlight, investors reacted fearfully to the countries' sovereign debt
problems," said Choi Kwang-hyeok, an analyst at Hanwha Securities.
"The news that Portugal received only a 300 million euro subscription to its 500
million euro bond issuance target was the catalyst for the debt woes," Choi said.
The market slump came as sovereign debt fears previously contained to Greece
spilled over other weak economies in Europe. Anxieties that the debt problems may
stunt a global economic recovery drove investors away from riskier assets
including equities.
Most shares tumbled sharply with financial shares taking harsher blows.
KB Financial Group, the parent for top lender Kookmin Bank, nosedived 6.75
percent to 47,000 won and Woori Finance Holdings, which controls Woori Bank
tumbled 5.54 percent 13,650 won.
Securities firms also closed sharply lower with top brokerage Samsung Securities
shedding 4.64 percent to end at 61,700 won.
Blue chip shares also added to the market falls with Samsung Electronics, which
controls the biggest market capitalization, slid 3.35 percent to 750,000 won and
smaller electronics rival LG Electronics slumped 3.57 percent to settle at
108,000 won.
POSCO, top steel maker, also dived 4.02 percent to 525,000 won.
The local currency ended at 1,169.90 won to the greenback, down 19 won from
Thursday's close after the global concerns sent investors to flee to the safety
of the U.S. currency, dealers said.
Bond prices, which move inversely to yields, closed higher. The yield on the
benchmark three-year Treasury note fell 0.04 percentage point to 4.22 percent,
and the return on five-year government bonds declined 0.05 percentage point to
4.79 percent.
pbr@yna.co.kr
(END)
In a broad-based slump, the Korea Composite Stock Price Index (KOSPI) 49.30
points to end at 1,567.12. Volume was heavy at 455.3 million shares, worth 4.9
trillion won (US$4.2 billion), with losers far outnumbering gainers 723 to 98.
Friday's steep losses pushed the key index back to the lowest level since it
ended at 1,555.70 on Nov. 30, after foreigners sold a net $293 billion in shares
following three days of buying.
"Given the bigger economic sizes of Portugal and Spain, the debt-bloated nations
in the spotlight, investors reacted fearfully to the countries' sovereign debt
problems," said Choi Kwang-hyeok, an analyst at Hanwha Securities.
"The news that Portugal received only a 300 million euro subscription to its 500
million euro bond issuance target was the catalyst for the debt woes," Choi said.
The market slump came as sovereign debt fears previously contained to Greece
spilled over other weak economies in Europe. Anxieties that the debt problems may
stunt a global economic recovery drove investors away from riskier assets
including equities.
Most shares tumbled sharply with financial shares taking harsher blows.
KB Financial Group, the parent for top lender Kookmin Bank, nosedived 6.75
percent to 47,000 won and Woori Finance Holdings, which controls Woori Bank
tumbled 5.54 percent 13,650 won.
Securities firms also closed sharply lower with top brokerage Samsung Securities
shedding 4.64 percent to end at 61,700 won.
Blue chip shares also added to the market falls with Samsung Electronics, which
controls the biggest market capitalization, slid 3.35 percent to 750,000 won and
smaller electronics rival LG Electronics slumped 3.57 percent to settle at
108,000 won.
POSCO, top steel maker, also dived 4.02 percent to 525,000 won.
The local currency ended at 1,169.90 won to the greenback, down 19 won from
Thursday's close after the global concerns sent investors to flee to the safety
of the U.S. currency, dealers said.
Bond prices, which move inversely to yields, closed higher. The yield on the
benchmark three-year Treasury note fell 0.04 percentage point to 4.22 percent,
and the return on five-year government bonds declined 0.05 percentage point to
4.79 percent.
pbr@yna.co.kr
(END)
